NW ANNUITIES EXAM QUESTIONS AND ANSWERS

NW ANNUITIES EXAM QUESTIONS
AND ANSWERS

Theyh------
yhisyhofferedyhonyhNorthwesternyhMutualyhimmediateyhannuitiesyhandyhincomeyhplansyhofyha

yhdeferredyhannuity.yhTheyh--------

yhisyhalso,yhbutyhneitheryhisyhofferedyhonyhtheyhSingleyhPremiumyhDeferredyhIncomeyhAnnuit

y.yh-yhanswer--(B).yhIncreasingyhPaymentyhOption/
AcceleratedyhIncomeyhWithdrawalyhFeatureyh
C.yhSingleyhpremium/Flexibleyhpremium
A.yhAcceleratedyhIncomeyhWithdrawalyhFeature/AcceleratedyhDeathyhFeature.yh
A.yhIncreasingyhPaymentyhOption/AcceleratedyhDeathyhBenefityhFeature.

Prioryhtoyhrecommendingyhtheyhpurchaseyhoryhexchangeyhofyhayhdeferredyhannuity,yhayhfina
ncialyhrepresentativeyhshouldyhmakeyhreasonableyheffortyhtoyhobtain,yhatyhayhminimum,yhinf
ormationyhconcerningyhtheyhcustomer's:
-age
-investmentyhexperience,yhinvestmentyhobjectives,yhandyhriskyhtoleranceyh
-
intendedyhuseyhofyhtheyhdeferredyhannuity,yhincludingyhtheyhinvestmentyhtimeyhhorizonyhan
dyhliquidityyhneeds.yh
-
financialyhsituation,yhincludingyhannualyhincome,yhtaxyhstatus,yhliquidyhnetyhworth,yhandyhex
istingyhassetsyh(includingyhinvestmentsyhandyhlifeyhinsuranceyhholdings).yh-yhanswer---
(True)
-False

NorthwesternyhMutual'syhSelectyhFixedyhAnnuitiesyhoffersyhthreeyhcontractyhchoicesyhthaty
hofferyhuniqueyhfeatures.yhWhichyhoneyhofyhtheyhfollowingyhisyhNOTyhoneyhofyhtheyhthreeyhco

ntractyhchoices?yh-yhanswer--A.yhPlatinum
(B.)yhBronze
C.yhSilver
D.yhGold

Cindyyhisyhpreparingyhforyhayhclosingyhmeetingyhwithyhclientsyhwhoyhareyhconsideringyhayhde
ferredyhfixedyhannuity.yhThisyhsolutionyhcouldyhhelpyhthemyhmeetyhtheiryhfinancialyhgoalyhofyh
supplementingyhtheiryhfutureyhretirementyhincomeyhneedyhwithyhanyhincomeyhplanyhfromyht
heyhdeferredyhannuity.yhTheyhclientsyhareyhconcernedyhaboutyhliquidityyhwhenyhtheyyhelectyh
anyhincomeyhplanyhfromyhtheyhdeferredyhfixedyhannuity.yhWhatyhfeaturesyhofyhtheyhdeferredy
hfixedyhannuityyhshouldyhCindyyhdiscussyhthatyhmayyhaddressyhtheyhclientsyhconcerns?yh-

yhanswer--A.yhAcceleratedyhDeathyhBenefityhFeature.yh

B.yhIncreasingyhPaymentyhOption.
C.yhAcceleratedyhIncomeyhWithdrawalyhFeature.
D.yhIncreasingyhRateyhFeatureyh

, E.yhA,yhByhandyhC
(F).yhByhandyhC

Samyhisyhmeetingyhwithyhayhhusbandyhandyhwifeyhwhoyhlikeyhtheyhideayhofyhhavingyhfixedyhan
dyhguaranteedyhincomeyhbackedyhbyyhNorthwesternyhMutual.yhWhatyhtheyyhareyhnotyhsurey
haboutyhyet,yhisyhwhenyhtheyyhwantyhtoyhretire.yhTheyyhloveyhwhatyhtheyyhdoingyhprofessiona

llyyhsoyhityhcouldyhbeyhayhyearyhfromyhnowyhoryhtenyhyearsyhfromyhnow.yhAtyhtheyhnextyhmeetin
g,yhtheyyhwouldyhlikeyhtoyhreviewyhsomeyhofyhtheyhannuityyhincomeyhoptionsyhtheyyhhaveyhwit
hyhNorthwesternyhMutual.yhAlthoughyhthereyhareyhseveralyhmoreyhdetailsyhtoyhdiscuss,yhwh
atyhareyhsomeyhproductyhhighlightsyhyouyhwantyhtoyhdiscuss?
I.yhTheyhincomeyhmayyhbeginyhfromyhayhSingleyhPremiumyhDeferredyhIncomeyhAnnuityyhwit
hinyhoneyhweekyhafteryhpurchase.yh

II.yhTheyhSingleyhPremiumyhImmediateyhAnnuityyhoffersyhtheyhAcceleratedyhIncomeyhWith
drawalyhFeature.yh

III.yhIncomeyhpaymentsyhfromyhtheyhSingleyhPremiumyhDeferredyhIncomeyhAnnuityyhmayyh
beyhdelayedyhupyhtoyhtenyhyearsyhafteryhcontractsyhissue.yh

IV.yhAyhfixedyhincomeyhplanyhmayyhbeyhelectedyhfromyhayhNorthwesternyhMutualyhdeferredyh
fixedyhoryhvariableyhannuityyh-yhanswer--A.yhIyhonly
B.yhIVyhonly
(C).yhIIyhandyhIII
D.yhIIIyhandyhIV

Evanyhphonedyhhisyhrep.yhwhenyhheyhreceivedyhhisyhmostyhrecentyhstatementyhonyhhisyhdef
erredyhannuity.yhEvanyhisyh65yhandyhpurchasedyhtheyhfixedyhannuityyhsevenyhyearsyhagoyhto
yhbeyhayhconservativeyhpartyhofyhhisyhportfolio.yhEvanyhhasyhreadyhandyhheardyhayhlotyhabouty

hhowyhtheyhmarketyhisyhbeginningyhtoyhtakeyhoffyhandyhthatyhvariableyhannuitiesyhhaveyhcons

iderableyhgrowthyhpotential.yhHeyhwantsyhtoyhgetyhoutyhofyhtheyhfixedyhannuityyhandyhpurcha
seyhayhvariableyhannuityyhtoyhearnyhayhhigheryhreturn.yhTheyhrep.yhshould:yh-yhanswer--
A.yhRecommendyhthatyhEvanyhconsideryhanyhexchangeyhintoyhayhvariableyhlifeyhinsuranceyh
policyyhbecauseyhityhhadyhgrowthyhpotentialyhwithyhayhdeathyhbenefit.yh

B.yhRecommendyhthatyhEvanyhsurrenderyhtheyhannuityyhandyhinvestyhinyhbondyhmutualyhfun
dsyhbecauseyhtheyyhworkyhsimilaryhandyhcostyhless.yh

C.ReviewyhEvan'syhinvestoryhprofileyhfactorsyhandyhotheryhfactsyhtoyhdetermineyhayhsuitabl
eyhcourseyhofyhactionyhtoyhaddressyhhisyhconcernsyhandyhneeds.yh

(D).yhUpdateyhhisyhinvestoryhprofileyhfactorsyhandyhriskyhtolerance,yhandyhdiscussyhwithyhEv
anyhtheyhlongyhtermyhfocusyhofyhayhvariableyhannuityyhandyhhowyhityhwillyhoutperformyhtheyhfix
edyhannuityyhwithinyhtheyhfirstyhcoupleyhofyhyears.


NotyhSure!

WilliamyhPurchasedyhayhdeferredyhannuityyhseveralyhyearsyhago.yhAlex,yhhisyhrepresentati
ve,yhhelpedyhhimyhchooseyhayhNorthwesternyhMutualyhfixedyhannuityyhthatyhmatchedyhhisyht
imeyhhorizonyhandyhneeds.yhNow,yhWilliam,yhageyh75,yhneedsyhincomeyhandyhisyhrequestin